In a landmark transaction for Malaysia's banking sector, ANZ pays $296 million for a 13.5% stake in Ambank and enters negotiations to increase that stake to between 20% and 25%.

Australia and New Zealand Banking Group ANZ has agreed to buy a 13.5% stake in AmBank Berhad for M$1.075 billion $296 million. The acquisition is conditional upon ANZ successfully completing exclusive negotiations with Amcorp Group Berhad, the principal shareholder of AmBank, to ultimately take ANZÆs shareholding in the bank to between 20% and 25%.

ANZ is paying M$3.05 per share for the 13.5% interest. The price represents a 2% premium to the last traded price of...